\made in germany\ no longer pride of german carmakers
Last Updated : GMT 02:16:54
Arab Today, arab today
Arab Today, arab today

\'Made in Germany\' no longer pride of German carmakers

Arab Today, arab today

Arab Today, arab today \'Made in Germany\' no longer pride of German carmakers

Frankfurt - AFP

\"Made in Germany\" was always the ultimate stamp of quality for iconic home-grown brands such as BMW, Audi and Mercedes, but is becoming increasingly obsolete as manufacturers ramp up production abroad. In fact, since 2010, more German cars are built outside the country than are assembled in domestic plants, even if their reputation for quality remains undiminished. The phenomenon \"reflects the preference of manufacturers, and not just German ones, to produce more in the markets the cars are destined for,\" such as China or the United States, said Stefan Bratzel, director of the Center of Automotive Management at the University of Applied Sciences in Bergisch-Gladbach. It is also a way of \"boosting their image because they can be seen by customers as generating employment in the specific regions,\" said Christoph Skudelny, automobile specialist at management consultants PwC. \"But it\'s also a way of meeting certain demands by the governments of the countries concerned, as well as cutting logistic costs and exchange rate risks,\" Skudelny said. German manufacturers such as BMW, Audi, Volkswagen and Mercedes-Benz were quick to recognise the need to internationalise production, a move that has also enabled them to come out of the crisis of the European car market relatively unscathed. Over 20 years, the overseas production of carmakers in Germany, including Opel, Audi, Porsche, Volkswagen BMW, Daimler and Ford Europe, has more than quadrupled to 8.2 million units in 2012, according to data compiled by the German automakers\' federation VDA. Furthermore, this has not been at the expense of Germany, where domestic production has also expanded, if not quite as fast, to 5.6 million units last year. The trend looks set to continue, too, VDA believes. It forecasts German makers will assemble some 8.7 million vehicle outside the country in 2013. That will take the proportion of overseas production up to 63 percent in 2013 from 60 percent in 2012. Just 10 years ago, the ratio was 45 percent abroad compared with 55 percent in Germany. And in 1992, it stood at 23 percent to 77 percent. Luxury sports car maker Porsche is the sole exception, producing all of its cars in Germany. Daimler, which owns the famous Mercedes-Benz brand, expects to produce only half of its cars in Germany by the end of the decade compared with two thirds at present, a spokesman said. After having opened a factory in Hungary last year to build its compact models, the group is now mulling assembly plants in Brazil and Mexico, even if \"no firm decision has yet been taken,\" its chief executive Dieter Zetsche told reporters at the IAA auto show in Frankfurt. \"As long as quality is still the order of the day in overseas plants, that won\'t tarnish the image of German makers,\" said Bratzel at CAM. And customers themselves do not seem overly concerned about where their cars are actually built. According to a study by Cetelem, only 5.0 percent of European car buyers attach any importance to that. Nevertheless, \"the more upscale the model, the more the production location becomes important\" for customers, Christoph Stuermer, analyst at IHS Automotive. Manufacturers have cottoned on to this and now promote the merits of \"developed in Germany\" rather than \"made in Germany\". \"German engineering enjoys a good reputation. It\'s that which puts them ahead,\" said Juergen Pieper, analyst at Metzler. For the moment, the increased production abroad \"has not only created jobs overseas but in Germany, too,\" where the sector employs 750,000 people, said VDA board member Klaus Braeunig. Flush with profits, a number of German makers have awarded their workforces generous bonuses this year. \"For political and social reasons, and with a strong labour union (the powerful IG Metall), relocation isn\'t easy,\" said Metzler\'s Pieper. \"And German makers want to show that they\'ll remain present here.\" But Braeunig said that while their was no immediate threat for German sites at present, \"there\'s no guarantee\" for the future.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

\made in germany\ no longer pride of german carmakers \made in germany\ no longer pride of german carmakers

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

\made in germany\ no longer pride of german carmakers \made in germany\ no longer pride of german carmakers

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today Japanese regulators raid Airbnb

GMT 00:44 2017 Monday ,20 November

Japanese regulators raid Airbnb
Arab Today, arab today Keep kids busy at Thanksgiving gatherings

GMT 11:14 2017 Friday ,10 November

Keep kids busy at Thanksgiving gatherings
Arab Today, arab today Saudi, Bahrain target Iran

GMT 00:48 2017 Monday ,20 November

Saudi, Bahrain target Iran
Arab Today, arab today Presenter Sherine Ramahi proud of her career

GMT 06:46 2017 Sunday ,19 November

Presenter Sherine Ramahi proud of her career
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Australian academic's book pulled

GMT 15:20 2017 Monday ,13 November

Australian academic's book pulled
Arab Today, arab today May under Brexit pressure at EU reform summit

GMT 02:14 2017 Saturday ,18 November

May under Brexit pressure at EU reform summit
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Tesla unveils its all-electric semi truck

GMT 02:59 2017 Saturday ,18 November

Tesla unveils its all-electric semi truck
Arab Today, arab today Baidu speeds up AI progress

GMT 11:46 2017 Friday ,17 November

Baidu speeds up AI progress
Arab Today, arab today Hanan Metawe denies apology for “Major Treason”

GMT 12:22 2017 Thursday ,16 November

Hanan Metawe denies apology for “Major Treason”
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 08:06 2017 Wednesday ,15 November

Ayten Amer happy for “The Flood” success

GMT 11:15 2017 Thursday ,16 November

Angola oil boss sacked by father's protege

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 11:49 2017 Thursday ,17 August

Egyptian artist presents new collection of designs

GMT 02:28 2017 Saturday ,18 November

Anti-drug operation nets 4 tonnes

GMT 01:34 2017 Friday ,17 November

Banyan Tree Phuket Takes Festive Season

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday